CELESTICA INC (CLS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CLS - CA15101Q2071 - Common Stock
310.04 USD
-18.52 (-5.64%)
310 USD
-0.04 (-0.01%)
We assign a fundamental rating of 7 out of 10 to CLS. CLS was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. CLS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CLS is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, CLS could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- CLS had positive earnings in the past year.
- CLS had a positive operating cash flow in the past year.
- In the past 5 years CLS has always been profitable.
- Each year in the past 5 years CLS had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 10.85%, CLS belongs to the best of the industry, outperforming 92.00% of the companies in the same industry.
- CLS has a Return On Equity of 35.33%. This is amongst the best in the industry. CLS outperforms 96.00% of its industry peers.
- The Return On Invested Capital of CLS (21.33%) is better than 96.80% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CLS is above the industry average of 8.82%.
- The 3 year average ROIC (11.43%) for CLS is below the current ROIC(21.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.85% | ||
| ROE | 35.33% | ||
| ROIC | 21.33% |
ROA(3y)4.63%
ROA(5y)3.55%
ROE(3y)15.02%
ROE(5y)11.3%
ROIC(3y)11.43%
ROIC(5y)8.93%
1.3 Margins
- CLS's Profit Margin of 6.35% is fine compared to the rest of the industry. CLS outperforms 72.00% of its industry peers.
- CLS's Profit Margin has improved in the last couple of years.
- CLS has a Operating Margin of 7.33%. This is in the better half of the industry: CLS outperforms 71.20% of its industry peers.
- In the last couple of years the Operating Margin of CLS has grown nicely.
- CLS has a Gross Margin of 12.04%. This is in the lower half of the industry: CLS underperforms 76.00% of its industry peers.
- CLS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.33% | ||
| PM (TTM) | 6.35% | ||
| GM | 12.04% |
OM growth 3Y24.27%
OM growth 5Y29.03%
PM growth 3Y34%
PM growth 5Y30.13%
GM growth 3Y8.03%
GM growth 5Y10.39%
2. Health
2.1 Basic Checks
- CLS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- The number of shares outstanding for CLS has been reduced compared to 1 year ago.
- The number of shares outstanding for CLS has been reduced compared to 5 years ago.
- CLS has a worse debt/assets ratio than last year.
2.2 Solvency
- CLS has an Altman-Z score of 7.12. This indicates that CLS is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 7.12, CLS belongs to the best of the industry, outperforming 80.80% of the companies in the same industry.
- CLS has a debt to FCF ratio of 1.97. This is a very positive value and a sign of high solvency as it would only need 1.97 years to pay back of all of its debts.
- CLS's Debt to FCF ratio of 1.97 is fine compared to the rest of the industry. CLS outperforms 78.40% of its industry peers.
- CLS has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
- CLS's Debt to Equity ratio of 0.37 is on the low side compared to the rest of the industry. CLS is outperformed by 60.80% of its industry peers.
- Although CLS does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.97 | ||
| Altman-Z | 7.12 |
ROIC/WACC2.53
WACC8.44%
2.3 Liquidity
- A Current Ratio of 1.47 indicates that CLS should not have too much problems paying its short term obligations.
- CLS has a Current ratio of 1.47. This is in the lower half of the industry: CLS underperforms 75.20% of its industry peers.
- A Quick Ratio of 0.88 indicates that CLS may have some problems paying its short term obligations.
- CLS has a worse Quick ratio (0.88) than 84.80% of its industry peers.
- The current and quick ratio evaluation for CLS is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 47.90% over the past year.
- Measured over the past years, CLS shows a very strong growth in Earnings Per Share. The EPS has been growing by 48.11% on average per year.
- Looking at the last year, CLS shows a very strong growth in Revenue. The Revenue has grown by 22.09%.
- CLS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.38% yearly.
EPS 1Y (TTM)47.9%
EPS 3Y44.1%
EPS 5Y48.11%
EPS Q2Q%51.92%
Revenue 1Y (TTM)22.09%
Revenue growth 3Y19.63%
Revenue growth 5Y10.38%
Sales Q2Q%27.79%
3.2 Future
- CLS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.14% yearly.
- Based on estimates for the next years, CLS will show a very strong growth in Revenue. The Revenue will grow by 27.74% on average per year.
EPS Next Y53.05%
EPS Next 2Y46.37%
EPS Next 3Y43.28%
EPS Next 5Y38.14%
Revenue Next Year26.52%
Revenue Next 2Y29.69%
Revenue Next 3Y30.76%
Revenue Next 5Y27.74%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 58.72, CLS can be considered very expensive at the moment.
- CLS's Price/Earnings ratio is in line with the industry average.
- CLS's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.33.
- With a Price/Forward Earnings ratio of 36.92, CLS can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Forward Earnings ratio as CLS.
- CLS's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.72 | ||
| Fwd PE | 36.92 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as CLS.
- CLS's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 89.57 | ||
| EV/EBITDA | 36.53 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of CLS may justify a higher PE ratio.
- A more expensive valuation may be justified as CLS's earnings are expected to grow with 43.27% in the coming years.
PEG (NY)1.11
PEG (5Y)1.22
EPS Next 2Y46.37%
EPS Next 3Y43.28%
5. Dividend
5.1 Amount
- No dividends for CLS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
310.04
-18.52 (-5.64%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)10-27 2025-10-27/amc
Earnings (Next)01-27 2026-01-27/amc
Inst Owners73.66%
Inst Owner Change0.1%
Ins Owners0.59%
Ins Owner Change11.53%
Market Cap35.67B
Revenue(TTM)11.28B
Net Income(TTM)716.70M
Analysts81.11
Price Target249.46 (-19.54%)
Short Float %3.05%
Short Ratio1.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.15%
Min EPS beat(2)6.6%
Max EPS beat(2)11.71%
EPS beat(4)4
Avg EPS beat(4)6.73%
Min EPS beat(4)1.95%
Max EPS beat(4)11.71%
EPS beat(8)8
Avg EPS beat(8)9.68%
EPS beat(12)12
Avg EPS beat(12)8.66%
EPS beat(16)16
Avg EPS beat(16)9.16%
Revenue beat(2)2
Avg Revenue beat(2)6.2%
Min Revenue beat(2)5%
Max Revenue beat(2)7.4%
Revenue beat(4)3
Avg Revenue beat(4)3.54%
Min Revenue beat(4)-0.75%
Max Revenue beat(4)7.4%
Revenue beat(8)7
Avg Revenue beat(8)3.49%
Revenue beat(12)11
Avg Revenue beat(12)3.14%
Revenue beat(16)14
Avg Revenue beat(16)3.37%
PT rev (1m)0.05%
PT rev (3m)54.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)19.76%
EPS NY rev (1m)0%
EPS NY rev (3m)8.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)14.35%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)5.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.72 | ||
| Fwd PE | 36.92 | ||
| P/S | 3.16 | ||
| P/FCF | 89.57 | ||
| P/OCF | 64.58 | ||
| P/B | 17.58 | ||
| P/tB | 25.25 | ||
| EV/EBITDA | 36.53 |
EPS(TTM)5.28
EY1.7%
EPS(NY)8.4
Fwd EY2.71%
FCF(TTM)3.46
FCFY1.12%
OCF(TTM)4.8
OCFY1.55%
SpS98.07
BVpS17.63
TBVpS12.28
PEG (NY)1.11
PEG (5Y)1.22
Graham Number45.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.85% | ||
| ROE | 35.33% | ||
| ROCE | 26.62% | ||
| ROIC | 21.33% | ||
| ROICexc | 23.67% | ||
| ROICexgc | 30.35% | ||
| OM | 7.33% | ||
| PM (TTM) | 6.35% | ||
| GM | 12.04% | ||
| FCFM | 3.53% |
ROA(3y)4.63%
ROA(5y)3.55%
ROE(3y)15.02%
ROE(5y)11.3%
ROIC(3y)11.43%
ROIC(5y)8.93%
ROICexc(3y)13.32%
ROICexc(5y)10.55%
ROICexgc(3y)18.44%
ROICexgc(5y)14.81%
ROCE(3y)14.26%
ROCE(5y)11.14%
ROICexgc growth 3Y31.4%
ROICexgc growth 5Y28.76%
ROICexc growth 3Y37.65%
ROICexc growth 5Y29.81%
OM growth 3Y24.27%
OM growth 5Y29.03%
PM growth 3Y34%
PM growth 5Y30.13%
GM growth 3Y8.03%
GM growth 5Y10.39%
F-Score7
Asset Turnover1.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.97 | ||
| Debt/EBITDA | 0.76 | ||
| Cap/Depr | 94.54% | ||
| Cap/Sales | 1.37% | ||
| Interest Coverage | 15.59 | ||
| Cash Conversion | 55.82% | ||
| Profit Quality | 55.56% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 7.12 |
F-Score7
WACC8.44%
ROIC/WACC2.53
Cap/Depr(3y)94.48%
Cap/Depr(5y)73.42%
Cap/Sales(3y)1.62%
Cap/Sales(5y)1.34%
Profit Quality(3y)94.3%
Profit Quality(5y)151.44%
High Growth Momentum
Growth
EPS 1Y (TTM)47.9%
EPS 3Y44.1%
EPS 5Y48.11%
EPS Q2Q%51.92%
EPS Next Y53.05%
EPS Next 2Y46.37%
EPS Next 3Y43.28%
EPS Next 5Y38.14%
Revenue 1Y (TTM)22.09%
Revenue growth 3Y19.63%
Revenue growth 5Y10.38%
Sales Q2Q%27.79%
Revenue Next Year26.52%
Revenue Next 2Y29.69%
Revenue Next 3Y30.76%
Revenue Next 5Y27.74%
EBIT growth 1Y62.33%
EBIT growth 3Y48.65%
EBIT growth 5Y42.42%
EBIT Next Year67.79%
EBIT Next 3Y43.39%
EBIT Next 5Y38.43%
FCF growth 1Y48.75%
FCF growth 3Y20.17%
FCF growth 5Y2.76%
OCF growth 1Y40.82%
OCF growth 3Y27.84%
OCF growth 5Y6.55%
CELESTICA INC / CLS FAQ
Can you provide the ChartMill fundamental rating for CELESTICA INC?
ChartMill assigns a fundamental rating of 7 / 10 to CLS.
What is the valuation status of CELESTICA INC (CLS) stock?
ChartMill assigns a valuation rating of 4 / 10 to CELESTICA INC (CLS). This can be considered as Fairly Valued.
What is the profitability of CLS stock?
CELESTICA INC (CLS) has a profitability rating of 8 / 10.
What is the valuation of CELESTICA INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CELESTICA INC (CLS) is 58.72 and the Price/Book (PB) ratio is 17.58.
How financially healthy is CELESTICA INC?
The financial health rating of CELESTICA INC (CLS) is 7 / 10.